This article is a follow up to Katie Hoffman’s appearance at NCET’s Cannabis Commerce 2.0 luncheon on May 23, 2018.

It’s no secret — cannabis is one of the fastest-growing industries in the United States.

This year alone, the U.S. cannabis sector could pump up to $33.8 billion into the nation’s economy, according to the Marijuana Business Factbook, an annual publication produced by the Marijuana Business Daily.

Further, the Factbook predicts the total economic impact of legal marijuana sales will increase by 234 percent over the next five years, from $23 billion in 2017 to as much as $77 billion by 2022.

These projections are key indicators why many entrepreneurs are rolling into the cannabis ecosystem in Northern Nevada.

Navigating state and federal laws, however, presents challenges for those eager to leap into legal cannabis, said Katie Hoffman, attorney at Fennemore Craig.

“Really, there are a couple of layers,” Hoffman said in an interview with the NNBV. “You’ve got your state issues, you’ve got your local issues, so you kind of have to make sure you’re working through all of those to get to the end result of opening up a cannabis business.”

HURDLES TO CLEAR

It starts with the application process. The state requires companies to show liquid assets of $250,000, Hoffman said, and application fees are $5,000, plus an additional licensing fee if the company is awarded a license for the following: retail store ($20,000), cultivation facility ($30,000), production facility ($10,000), testing lab ($15,000) and distributor ($15,000).